CPPIB Watch: A quarterly update on CPPIB-owned fossil fuel companies (April – June 2026)
Shift’s latest quarterly deep dive into the incompatibility of CPPIB’s fossil fuel investments with the retirement security of Canadians was published in the National Observer.
The Canada Pension Plan Investment Board (CPPIB) is financing four liquefied natural gas (LNG) terminals – and signalling there could be more to come – despite the industry bringing worsening climate damage and escalating financial risks to the Canada Pension Plan (CPP).
This reckless bet on fossil fuel expansion by the $793-billion investment manager for the CPP comes despite an accelerating energy transition, expected LNG supply glut, and increased market competition from cheaper, cleaner alternatives.
CPPIB’s gamble on LNG expansion also comes amidst grim scientific warnings that the global climate is approaching dangerous tipping points. The pension manager’s deficient climate approach has led young Canadians to take CPPIB to court, alleging that it’s breaching its duty to invest in their best interests by mismanaging climate risks while investing billions in fossil fuels.
While a CPPIB executive recently said climate change is “the single biggest source of risk for the fund”, that hasn't stopped CPPIB from making at least $6 billion in new investments in fossil fuels in 2025. That includes big bets on LNG – a primary driver of the climate crisis – which leaks methane across its supply chain.
CPPIB recently helped enable the advancement of Commonwealth LNG, a Louisiana export facility. In 2022, CPPIB committed US$100 million to a private equity fund that bought fracked gas assets in Texas and helped finance Commonwealth LNG. In May, CPPIB contributed another US$1.2 billion for a 31% stake in Caturus, Commonwealth LNG’s proponent.
Last fall, CPPIB announced a $4.1-billion investment in Sempra Infrastructure Partners, falsely claiming that “LNG infrastructure is central to meeting rising global demand and supporting long-term transition goals.” CPPIB’s investment helped enable Sempra’s advancement of Port Arthur LNG Phase 2 in Texas. It also means our national pension manager will take stakes in Cameron LNG in Louisiana and Energia Costa Azul LNG in Mexico – LNG facilities which are both considering expansions that would lock-in decades of additional fossil fuel production and associated emissions.
CPPIB is directly financing four LNG projects – and appears to be considering even more. Amidst rumours that the federal government is arm-twisting pension funds to invest in LNG Canada – the most polluting LNG facility in the world – CPPIB’s CEO falsely claimed that the world is “not (in) an energy transition” and called LNG an “attractive” investment that “will be fruitful in the near term.”